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  • FIRST POST
    • confessionsofaspendaholic
    • By confessionsofaspendaholic 9th Jun 17, 11:31 PM
    • 3Posts
    • 7Thanks
    confessionsofaspendaholic
    Diary of a Twenty Something Shopaholic
    • #1
    • 9th Jun 17, 11:31 PM
    Diary of a Twenty Something Shopaholic 9th Jun 17 at 11:31 PM
    Well here goes nothing!

    Firstly - I'm petrified. Like, really scared to post on here - I've been a stalker of the forums on MSE for a while and to be honest some of the comments are definitely more negative nellbob's than anything - so please, be gentle!

    I'm a Debt Free Wannabe, Wannabe if there is such a thing!

    I have finally decided over the past months that I'm the only person that can make this happen.

    I have a love of buying things and a dose of depression & anxiety and not so luckily the two seem to love to go hand in hand with one another. I get down - I buy some shoes! I feel happy - I celebrate with a fabulous meal out, you get the picture!

    But 2017 is the year, my year to aim to work towards becoming debt free, no more excuses!

    So I'm going to document it here, to stick to it, to hopefully meet some fabulous people and you never know - maybe actually become Debt Free! (Although I do love the Wannabe aspect, got to love a Spice Girls reference )

    I'm 24, I work full time and have no savings to speak of.

    However, I do have an amazingly supportive boyfriend and will to change - we want to start saving for a mortgage, I might not be approved for one for a long time but will be one day and I want to be in a position to start saving eventually for a fab deposit, even if it is really hard and takes me an aaaaage!

    My Debts are a result of a lot of things, I won't go into that just now - don't want to put you off just yet

    Here they are - in all their terrifying glory!

    Debts Outstanding

    RBS Personal Loan - £11,848.60 (Opened last year, £14,000 total amount) 18.9% APR, 60 Month Period
    RBS Platinum Mastercard - £1,779.54, 17.44% APR
    Barclaycard Visa - £4,691.79, 26.18% APR
    Overdraft - £400

    Total: £18,719.93

    That total gives me nightmares but I'm on my way to fixing my problems, this time last year my debts were higher, small improvements and all that!

    So this is my starting point, feel free to follow along on whatever this crazy journey of mine will look like!

    Looking for any support and positive vibes out there - please no negativeness, I'm a sensitive soul really and trust me, no one is as horrified and devastated by my debts at the age of 24 than me - but I'm trying to fix it

    Come along, all welcome, I think I'll be a very eager poster for a lil while at least!
    Last edited by confessionsofaspendaholic; 09-06-2017 at 11:35 PM.
Page 1
    • Poor_Single_lady
    • By Poor_Single_lady 10th Jun 17, 8:31 AM
    • 840 Posts
    • 2,979 Thanks
    Poor_Single_lady
    • #2
    • 10th Jun 17, 8:31 AM
    • #2
    • 10th Jun 17, 8:31 AM
    Hello and welcome. I'm not very good at advice but I am quite similar to you.
    I just wanted to say on the mortgage aspect. I got mine a few years ago solely in my name with about £8,000 debts so as long as you have a plan and look like you are dealing with it (which you are) it doesn't have to be a deal breaker on the mortgage front especially if you are going in with your boyfriend which will help your position.

    Good luck with your journey. Hope the diary helps. xx
    2017- 5 credit cards plus loan
    Overdraft And 1 credit card paid off.

    2018 plans - reduce debt
    • lionheartedgirl
    • By lionheartedgirl 10th Jun 17, 9:28 AM
    • 899 Posts
    • 3,165 Thanks
    lionheartedgirl
    • #3
    • 10th Jun 17, 9:28 AM
    • #3
    • 10th Jun 17, 9:28 AM
    Morning,

    I've been in this forum for a very long time and generally it is very encouraging and very positive so try not to worry about negative posters. Maybe not so true of other areas, I don't know as I don't venture out of this bit very often, but people are very kind and helpful I tend to find.

    Good luck on your journey!

    When you start to feel a bit more ready, have a think about listing out all your income and expenditure, you don't have to share it (lots of people prefer not to) but it's definitely good to know all your numbers and be in a position of strength.
    Never sit in the comfy chair - Jake Humphrey
    • confessionsofaspendaholic
    • By confessionsofaspendaholic 10th Jun 17, 2:25 PM
    • 3 Posts
    • 7 Thanks
    confessionsofaspendaholic
    • #4
    • 10th Jun 17, 2:25 PM
    • #4
    • 10th Jun 17, 2:25 PM
    Hi and thank you so so much for your replies!
    I'm actually really excited to begin this journey and ready to do whatever it is I need to.

    Can't thank you both enough for your positiveness

    Had a tiny setback when completing my SOA as I had forgot to add in a loan from my parents that I pay back monthly - makes my debt a little higher but I was already accounting for paying that month to month so not too much of a shock!

    This is my SOA - happy for any help!





    [font=courier new]Statement of Affairs and Personal Balance Sheet

    Monthly Income Details

    Monthly income after tax................ 1363
    Partners monthly income after tax....... 0
    Benefits................................ 0
    Other income............................ 0
    Total monthly income.................... 1363


    Monthly Expense Details

    Mortgage................................ 0
    Secured/HP loan repayments.............. 0
    Rent.................................... 160 (I live at home still half the week and with my boyfriend the other half!)
    Management charge (leasehold property).. 0
    Council tax............................. 0
    Electricity............................. 0
    Gas..................................... 0
    Oil..................................... 0
    Water rates............................. 0
    Telephone (land line)................... 0
    Mobile phone............................ 69 (Crazy contract with vodafone, will be ending in July though and then plan to move onto sim only for £25!)
    TV Licence.............................. 0
    Satellite/Cable TV...................... 3.99
    Internet Services....................... 9.99
    Groceries etc. ......................... 200
    Clothing................................ 10
    Petrol/diesel........................... 0
    Road tax................................ 0
    Car Insurance........................... 0
    Car maintenance (including MOT)......... 0
    Car parking............................. 0
    Other travel............................ 50
    Childcare/nursery....................... 0
    Other child related expenses............ 0
    Medical (prescriptions, dentist etc).... 20 (Contacts!)
    Pet insurance/vet bills................. 0
    Buildings insurance..................... 0
    Contents insurance...................... 0
    Life assurance ......................... 0
    Other insurance......................... 0
    Presents (birthday, christmas etc)...... 40 (Saving Account to cover, birthdays and christmases throughout the year!)
    Haircuts................................ 10 (Every few months only, £50 a time so averaged)
    Entertainment........................... 40
    Holiday................................. 0
    Emergency fund.......................... 0
    Total monthly expenses.................. 612.98



    Assets

    Cash.................................... 0
    House value (Gross)..................... 0
    Shares and bonds........................ 0
    Car(s).................................. 0
    Other assets............................ 0
    Total Assets............................ 0


    No Secured nor Hire Purchase Debts


    Unsecured Debts
    Description....................Debt......Monthly.. .APR
    LOAN...........................11848.6...350...... .18.9
    Overdraft......................400.......50....... .0
    MasterCard.....................1779.54...50....... .17.44
    Personal Debt..................1200......100.......0
    Barclaycard....................4691.7....160...... .26.18
    Total unsecured debts..........19919.84..710.......-



    Monthly Budget Summary

    Total monthly income.................... 1,363
    Expenses (including HP & secured debts). 612.98
    Available for debt repayments........... 750.02
    Monthly UNsecured debt repayments....... 710
    Amount left after debt repayments....... 40.02


    Personal Balance Sheet Summary
    Total assets (things you own)........... 0
    Total HP & Secured debt................. -0
    Total Unsecured debt.................... -19,919.84
    Net Assets.............................. -19,919.84



    Hope everyone has a fab weekend!

    I'll be spending mine trying not to spend!
    • Hiddenidenity
    • By Hiddenidenity 10th Jun 17, 2:37 PM
    • 3,386 Posts
    • 13,065 Thanks
    Hiddenidenity
    • #5
    • 10th Jun 17, 2:37 PM
    • #5
    • 10th Jun 17, 2:37 PM
    Hello and welcome

    Your SOA looks okay, you've said about the phone and changing that when you can. Your groceries could be less I don't spend much more as a family of 5.

    Do you really have the money left over at the end of the month? If not you might find a spending diary for a month or so helpful in showing where every penny is 'used' Up to you of course I just love my spending diary and list

    Good luck

    DFW £523.71/£7348.71
    Rent Arrears £271.28/£3381.28

    June 17 PA £91.05 + £70 Cash + £25 Amazon
    • UncannyScot
    • By UncannyScot 10th Jun 17, 3:19 PM
    • 231 Posts
    • 800 Thanks
    UncannyScot
    • #6
    • 10th Jun 17, 3:19 PM
    • #6
    • 10th Jun 17, 3:19 PM
    Hi and welcome,

    I know you think your debts are huge, but believe me when I say it is not insurmountable, you will be able to deal with it over time as you have a plan to pay and clear it off.
    Folks on here are non-judgemental and are very supportive and also very friendly.
    We are all on the same boat and are all here to help.
    Good luck and I will look forward to following your progress
    Last edited by UncannyScot; 10-06-2017 at 3:20 PM. Reason: brainfart
    It is important that we know where we come from, because if you do not know where you come from, then you do not know where you are, and if you don't know where you are, then you don't know where you are going. If you don't know where you're going, you're probably going wrong.
    R.I.P. T.P.
    • enthusiasticsaver
    • By enthusiasticsaver 10th Jun 17, 3:43 PM
    • 3,555 Posts
    • 6,211 Thanks
    enthusiasticsaver
    • #7
    • 10th Jun 17, 3:43 PM
    • #7
    • 10th Jun 17, 3:43 PM
    Very rarely is anyone judgemental on this forum. It is for advice and encouragement and you have made a great start by doing an soa and writing the debt down, therefore admitting it to yourself and that you have a problem. It is most definitely fixable though.

    The main issue you have is high interest rates. Do you have too much debt for a 0% card to move your Barclaycard? Your interest must be around £100 per month so if you pay £160 the debt is only going down by £60 per month and will make this a long hard road. If you cannot move this to 0% then I would focus any spare money on that.

    Your mobile and groceries could be lower. Do you do holidays and is that entertainment figure correct? Normally I would say you should save for an emergency fund but as you have no house or car and live at home it is not so critical for you but I would definitely throw a good proportion of your spare money towards clearing the Barclaycard first. Would your parents accept a lower figure monthly to the personal debt so you can focus on your interest charging debts? Is the clothes and entertainment budget doable or are you aspiring to just spending that? The entertainment budget particularly looks low and you have some leeway to increase it slightly to make life more bearable. This is a long journey so you need to put new habits in place and breaking a budget because it is too low is very depressing.

    Re the depression, I would suggest you find somethings to do which do not involve spending money. Walking, listening to music or reading a book rather than hitting the shops. Take credit cards off the websites you commonly use if online shopping and keep a spending diary. Try and get into the habit of not shopping on impulse but only going if you physically need something.
    Debt and mortgage free and saving for early retirement
    • emmie26
    • By emmie26 10th Jun 17, 4:05 PM
    • 376 Posts
    • 1,042 Thanks
    emmie26
    • #8
    • 10th Jun 17, 4:05 PM
    • #8
    • 10th Jun 17, 4:05 PM
    Hello and welcome! I have been on here for far too long, I have had only very rare negative comments and it wasn't on my debt free diary. Looking at your SOA I wondered where you get your contacts from, mine are from Tesco and they are acuvue ones and cost me £10.40 per month. I used to use boots but it was so much more expensive for the same lenses.

    I agree with trying to get a 0% balance transfer if you are able to.

    Good luck

    Total Debt: £24,359.79 £23,124
    debt reduced by 5%
    Debt free date: May 2019
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